The Most Valuable Asset for Gaining A Competitive Advantage

McKinsey studied 600k people (researchers, entertainers, politicians, and athletes)

The Result: High performers were discovered to be 400% more productive than their average counterparts. The gap between the groups widens even further as the complexity of tasks increases.

McKinsey highlights “if a competitor used 20 percent more great talent in similar efforts, it would beat you to market even if it started a year or two later.”

👉Let that sink in!

Something similar was already proven by Jack Welch, the CEO of General Electric from 1981 to 2001, who was honored with the title “Manager of the Century”.

Despite facing criticism for his management style, often referred to as “Rank and Yank,” the focus on top talent and skill transformation played a pivotal role to reach (according to Wikipedia) a sevenfold revenue increase whereas the number of employees decreased by 100k.

In my opinion, the challenge lies in assessing the potential and developing it, as managers often get preoccupied with day-to-day operations rather than focusing on leadership responsibilities. Besides the mere focus on top talent, here are the tips I find essential for UNLOCKING POTENTIAL:

• Ensure your leadership team is well-managed and effective. The primary responsibility of any leadership role is to empower individuals to achieve their maximum potential.

• Take great care in selecting your leadership team, as they have the potential to be significant multipliers of success.

• Identify Quiet Performers as they humbly excel in their work while not taking credit for it. Instead of overlooking such talent as average talent, try to understand if this person is just bad in self-marketing, shy, or an introvert by asking practically relevant questions as simple as “What was the actual job or task you did?” and use that as a starting point to delve deeper into their capabilities and potential contributions.

• Invest in #skilltransformation. If you have an open position as a developer and a talented employee expresses interest in becoming one, send them to a boot camp. It may cost you 10k but what are the costs of a headhunter?

• To achieve peak performance, the alignment of talent with the position is crucial. This goes beyond possessing the right skills and experience. It involves ensuring a harmonious fit between the individual, the role, the team, and the potential career prospects.

• Before categorizing someone as average or low-talented, consider whether they might be in the wrong position or team. This is not just a HR job, but one of every leadership position. Take the time to inquire about their previous experiences and talents. You may discover untapped potential they possess.

With the media's tone of ‘all for the people’ and ‘work less, earn more’ do companies have a social responsibility to accommodate low performers, even when they provide little to no value or worse?